Tranzeo Wireless and Charlotte Resource Agree to Merger
Published on: 13th Mar 2014
Note -- this news article is more than a year old.
By: Ian Mansfield
Wireless broadband vendor Tranzeo Wireless Technologies says that it has agreed to a merger with Charlotte Resource. The deal was previously indicated last December but the two sides were still negotiating the terms of the merger.
Under the terms of the deal, Tranzeo shareholders will receive 1 new common share of Charlotte for each 7.5 common shares of Tranzeo held.
The agreement provides for a $400,000 secured loan to be advanced by Charlotte to Tranzeo.
Charlotte will also arrange to raise USD2 million in a public shares placement.
The Agreement also provides that Charlotte will issue units on the same terms as the Private Placement, to certain creditors of Tranzeo to settle up to a total amount of $5,300,000 of debt owed by Tranzeo to such creditors.